11 January 1995
Supreme Court
Download

DMAI Vs

Bench: RAMASWAMY,K.
Case number: C.A. No.-001891-001892 / 1989
Diary number: 72277 / 1989


1

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 1 of 2  

PETITIONER: THE SPECIAL TAHSILDAR (LA), P.W.D.SCHEMES, VIJAYAWADA

       Vs.

RESPONDENT: M.A. JABBAR

DATE OF JUDGMENT11/01/1995

BENCH: RAMASWAMY, K. BENCH: RAMASWAMY, K. MANOHAR SUJATA V. (J)

CITATION:  1995 AIR  762            1995 SCC  (2) 142  JT 1995 (1)   383        1995 SCALE  (1)144

ACT:

HEADNOTE:

JUDGMENT: ORDER 1.The  short  point that arises for consideration  in  these appeals   is   whether  the  claimant-respondent   in   C.A. No.1891/89  would  be entitled to the additional  amount  in terms  of s.23(1) of the Land Acquisition Act of  1894  (for short ’the Act)’ from the date of taking possession, namely, February  15,  1965.   Indisputably,  facts  are  that   the notification under s.4(1) of the Act was published on  March 6, 1980, though possession of the land was taken on February 15,  1965.  The award under s. 11 was made by the  Collector on September 30, 1983.  The High Court of A.P. in A.S. No.95 of 1987 while determining the compensation at Rs. 120/-  per sq.  yard awarded solatium @ 30% on  enhanced  compensation. The  additional amount @ 12% per annum on the  market  value from  the date of the notification from March 6,  1983  till the  date  of  the award, namely,  September  30,  1983  and interest  @ 9% after taking possession from  15.2.1965  till 14.2.1966 and thereafter @ 15% till the date of payment. 2.This  court while granting leave confined the question  of entitlement of the benefits under Amending Act 68/1984.   In view  of the fact that the award itself was made  after  the Amending  Act came into force, the claimant entitled to  the benefits  under sub-s.(2) of s.23, solatium on the  enhanced market  value at 30% and also interest under s.28. The  only area  of  dispute  is whether the claimant  is  entitled  to additional amount under s.23(IA), and if so from what  date. It  is  contended for the State that  since  possession  had already been taken prior to the Amending Act 68 of 1984  has come  into  force,  the  claimant is  not  entitled  to  the additional  amount.  On the other hand it is  contended  for the claimant that since possession was already taken and the owner was deprived of the enjoyment of the land,  additional amount  should  be paid from the date of  taking  possession since it was stated under s.23(IA) that the amount shall  be payable  from  the date of the award or  taking  possession,

2

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 2 of 2  

whichever  is earlier.  Since possession was taken  earlier, the  claimants are entitled to the additional amount  @  12% per  annum  from  the date  of  taking  possession,  namely, February 15, 1965. 3.On  a true interpretation of subs.(IA) of s.23, we are  of the  considered  view that the High Court is right  in  con- cluding  that the claimants are entitled to  the  additional amount at the rate of 12% per annum from March 6, 1980,  the date  of  publication of the notification till the  date  of award,  namely,  September 30, 1983.   Sub-s.(1-A)  of  s.23 adumbrates  that  "in addition to the market  value  of  the land,  the  Court  shall  in  every  case  award  an  amount calculated  at  the rate of twelve per centum per  annum  on such market value for the period commencing on and from  the date of the publication of the notification under s.4(1), in respect of such land to the date of the award of the 385 Collector  or  the date of taking possession  of  the  land, whichever  is  earlier".  In other words, the owner  of  the land  who has been deprived of the enjoyment of the land  by having  been parted with possession, the Act  intended  that the  owner be compensated by awarding an  additional  amount calculated  at  the rate of 12_per centum per annum  on  the enhanced  market  value for the period between the  date  of notification  and  the  date  of award  or  date  of  taking possession  of the land whichever is  earlier.   Admittedly, possession  having already been taken on February 15,  1965, before publication of the notification under s.4(1) on March 6, 1980, the award of additional amount for the period  from March 6, 1980 to September 30, 1983, i.e. the date of making the award under s. 11 is perfectly correct.  In addition  to other statutory benefits, the owner also is entitled to  the additional amount but to given award additional amount  from February 15, 1965, i.e. from the date of taking  possession, though  apparently  earlier in point of  time  mentioned  in s.23(1-A),  in  effect it amounts  to  giving  retrospective effect to Sub-s.(1-A) to s.23 under the Amendment Act 68/84. Even  though  the  Amendment Act  was  prospective  and  the transitory provision had only retro limited activity. 4.Therefore, we hold that the claimants would be entitled to additional  amount of the enhanced market value at  12%  per annum  from the date of the publication of the  notification under  s.4(1) till the date of the award,  since  possession had already been taken before the Amending Act has come into force.  Both the appeal by the State and cross appeal by the claimant are accordingly dismissed.  No costs. 386